Over the past twenty years, many software companies have developed and marketed financial and accounting software. The functionality, prices and target markets of these packages has varied significantly. One commonality of these financial packages is a lack of multi-dimensional financial reporting and in particular the analysis designed to provide meaningful insight to the business owner or manager to manage the business.
The reporting of financial information in an organization typically takes two forms, namely: (1) reports containing figures (single dimensional); and (2) graphic depictions of these figures (dual dimensional). Both forms usually represent a one or two dimensional, static and historical view of one particular segment of the overall finances of the organization. Some combination of reports and graphs allow the reader to obtain a more comprehensive view of the overall financial health of the organization. Most often, these financial reports are only provided on a periodic basis (e.g., monthly or quarterly), thereby forcing the reader to only be reactive as opposed to proactive because they become aware of events after the fact. In some cases it is months after the event and too late to react or recover.
In most organizations, the management team includes a Chief Executive Officer (CEO) (often the majority owner), a Chief Financial Officer (CFO) and/or a Controller. However, management teams frequently lack a Certified Public Accountant (CPA) and often have limited knowledge of finance, accounting, cash flow, and/or have limited experience simultaneously managing all financial measures central to the health of the organization. In particular, the knowledge level of technology and the ability to leverage this knowledge to improve financial processes and useful output (i.e., reporting) vary significantly. This is especially true of small and medium sized organizations where smaller time period reviews are critical.
Accordingly, there exists a need for a system for visualizing financial data of an organization that provides a comprehensive financial platform and the power to visualize a multi-dimensional picture of the organization, thereby, allowing the management team to observe changes as they occur and, thereby, monitor all of the most important financial and operational measures in their organization simultaneously in real-time so they can proactively take corrective action.